advice to refinance or not to refinance

6 Replies

So I own a property only owe 54k to finish paying it off property is worth 350 was trying to see if I refinance or take a HELOC not sure what would be the best to take out some money so I may be able to purchase another property anyone have any tips or advice.
Originally posted by @Orlando Samayoa :
So I own a property only owe 54k to finish paying it off property is worth 350 was trying to see if I refinance or take a HELOC not sure what would be the best to take out some money so I may be able to purchase another property anyone have any tips or advice.

 What is your current mortgage rate? If you are able to find a lower one and pay some closing costs cash out refinance could be an option.

The other property you are looking to purchase a buy and hold or flip? My experience with HELOC's is they have a higher interest rate but convenient being able to take what you need with little to no notice and pay it back whenever. So in my opinion they are more suitable to Flips. For a buy and hold I would go with the Cash Out Refi because you will likely get a much lower interest rate. If you are focusing on the Buy and Hold also check out Brandon Turners "BRRR Strategy"

@Orlando Samayoa I'm actually in the process of a cash out refi right now. I'll be planning to purchase another buy and hold here in Orlando. @Brad Gibson mentioned the benefits already, but the only other thing that pushed me to a cash out refi is the fact that I could get a lower interest rate. If you've already got a good interest rate there, a HELOC will allow you to take a line of credit without changing the payments on the current mortgage.

Hey josh I live in Orlando also is there a lender you prefer for a cash out refi? 

Originally posted by @Josh Calcanis :

@Orlando Samayoa I'm actually in the process of a cash out refi right now. I'll be planning to purchase another buy and hold here in Orlando. @Brad Gibson mentioned the benefits already, but the only other thing that pushed me to a cash out refi is the fact that I could get a lower interest rate. If you've already got a good interest rate there, a HELOC will allow you to take a line of credit without changing the payments on the current mortgage.

@Logan Larochelle I'm still in contact with my original lender from my first two properties, but after digging around I found someone out in Lake Mary that is a broker instead of a direct lender. What matters to me is that he's a bit more of a partner and investor I can team up with for years to come. PM I'll gladly share both lenders info.

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here